Amit's Amazing Policy

Policy Recommendation
Tanzania’s policies are aimed at reducing poverty and increase growth in the long-term future. One of Tanzania’s policies is the National Development Strategy which is derived from a policy called Development Vision 2025 (U.N. Economic and Social Council). The goal of the policy is to become a middle-income country instead of a developing country and have the low agricultural dominated economy to a semi-industrial economy with new forms of technology. The final outcomes in 2025 claim to be effective education for the younger generations, good governance, and a strong, competitive 21st century country. Another one of Tanzania’s government’s continuing policies is bilateral development cooperation which is managing strong aid relationships with other countries. For example, in 2001 direct budget support was about 1 billion. Direct budget support is federal aid given to help the government of Tanzania without any “strings attached” meaning Tanzania doesn’t have to do anything in return for a specific country (U.N. Economic and Social Council). In 2005, this number increased to 1.7 billion so building and creating these relationships with these countries is a crucial and important relationship to sustain as the development period continues. Another one of the most important plans Tanzania has constructed is the District Agricultural Plan to improve its agricultural sector by improving rural roads, providing subsidies for farmers of improved seeds, increasing the area under irrigation, and also implementing Trust Funds which allows farmers to start their business. The agriculture sector is a major area that needs improvement because of its slow growth and its impact on the GDP. A growth in the GDP has been proven to show that reduction in poverty will follow. Agriculture serves up to 70% of the livelihood of people in Tanzania (U.N. Economic and Social Council).
Finally another important policy that has been emphasized is the policy to expand education in Tanzania. One target is to eliminate illiteracy by 2015 yet this remains challenging due to rural women not getting the education they need. In policy terms, poor families are allowed to send their kids to school free yet in practice this policy is difficult to enforce because of the limited spots of children to one school. Another challenge remains to have teachers well-trained when training is expensive and very hard to commit to. The Primary Education Development Program removed fees at primary schools and this raised the enrollment rates considerably (U.N. Economic and Social Council).
There would be 4 main policies I’d like to recommend for Tanzania. I base all these policy decisions on my knowledge of short-term aggregate supply, aggregate demand, and productivity. The first policy decision I would implement would be anti-corruption laws which would mandate corrupted officers and government officials to step down. I would achieve this goal by rejecting aid from one country and instead ask for the personnel to have a thorough investigation of the government. In the book Corruption in Tanzania Hoseah explains how some amount of corruption has taken the money out of the poor. This is intolerable in a developing country and this reduces productivity. To have a strong performing country, its base must be good government and this is one of the reforms I would implement.
Another policy I’d implement would be to invest in more technology. I would this by gathering 10 scientists from a developed country such as the United States and figure out ways how the farming initiative can be taken to a whole new level. This would entail less poverty in the long-haul. Yet an adverse affect would be less people needed to do farming which would result in more people unemployed. But more unemployment would have to be sacrificed as the poverty line would decrease while more exports can exported.
Another policy I’d implement is to have monthly summits where leaders of the Tanzanian government figure out how the industries will prosper. A productive country has diversified industries which range from many businesses (Wall Street Journal). Tanzania must attract large companies to directly invest in their country. Tanzania will have to have gain relationships with countries to offer more incentives to their companies. Many companies respond to the incentive of lower cost. Since Tanzanian citizens are willing to work for less, companies can invest in their production facilities there in Tanzania while cutting costs to their companies.
Finally a policy that would help Tanzanian’s poverty line would be to have HIV/AIDS centers all around the country to help and educate people of its vast consequences. It is a movement that must be entailed. This movement will be both educational and will give health benefits of those who have AIDS. Hopefully one will see an improvement in human capital because of the improvement of the well-being of people. The adverse affects would be higher spending but Tanzania’s debt isn’t ranked high in the world and their inflation rate continues to be solid.